Research On Valuation Of Biopharmaceutical Companies Based On Modified EVA Model

In recent years,as a strategic emerging industry and health ind ustry in China,the biopharmaceutical industry has received strong s upport from national policies,unprecedented development in industri al scale and investment,and the biopharmaceutical sector has also become very active in the capital market.The plate has attracted in vestors' constant attention.Whether it is an investment in a biophar maceutical-listed company or the management and development of a biopharmaceutical company itself and the healthy development of t he capital market,it should be based on a reasonable valuation of biopharmaceutical companies.At the same time,based on the partic ularity of biopharmaceutical companies,the poor performance of bio pharmaceutical companies in financial indicators does not mean that their development potential is insufficient,and non-financial indicat ors have a significant impact on the value of biopharmaceuticals.T herefore,the introduction of non-financial indicators and the use of reasonable valuations The model's valuation of biopharmaceutical co mpanies is of great significance to the future development and gro wth of the company as well as the stability and health of the capit al market.First of all,based on the characteristics of biopharmaceutical c ompanies such as high growth and high returns,high R&D investm ent,and high intellectual capital investment,this paper specifically a nalyzes the limitations of different valuation methods and the applic ability of EVA assessment methods,taking full account of human c apital and biology.Based on the impact of technological R&D and innovation and the level of corporate management on the value of biopharmaceutical companies,non-financial correction factors have b een introduced,EVA valuation models that are modified by non-fina ncial indicators have been selected to value biopharmaceutical comp anies,and,secondly,they are in the capital market.The pharmaceut ical sector compares the representative biopharmaceutical company S hutai Shen as an example to carry out a valuation analysis.The re vised EVA value assessment model is applied to the value assessme nt of specific case companies.Finally,based on the established asse ssment model,the historical annual EVA is used.Based on the calc ulation of the EVA value of the forecast period and the weighted a verage cost of capital,the corporate value of Shutai Shen at the as sessment date was calculated,and the rationality of the valuation re sults was analyzed and evaluated by comparing with the market val ue.Through the research of this paper,it is found that applying modified EVA model to the valuation of biopharmaceutical companies can more fully reveal its intrinsic value.The evaluation results can provide management with reference to the effective value manage ment of biopharmaceutical companies,and the analysis of valuation process at the same time.For other bio-pharmaceutical companies to conduct business value evaluation with reference.